Liverpool Football Club recently disclosed its financial statement for the previous year, revealing pre-tax losses amounting to 57 million pounds ($71.8 million).
This loss is notable despite the club achieving record-high commercial revenues, which reached 308 million pounds ($387.8 million) within the same period.
The financial accounts, covering up to May 31, 2024, highlight the critical impact that Champions League participation has on top-tier English football clubs.
Liverpool identified a significant reduction in media revenue as a key factor for the financial loss, attributed to not qualifying for this leading European competition last season.
Specifically, the club experienced a 38 million pound ($47.9 million) decrease, leaving it with 204 million pounds ($257 million) in media revenue.
Despite the setback, Liverpool recorded a positive shift in matchday earnings, which increased by 22 million pounds (£27.7 million), amounting to 102 million pounds ($128.4 million).
Furthermore, the club’s commercial revenues reached new heights with a 36 million pound ($45.3 million) increment.
This growth contributed to an overall revenue rise of 20 million pounds ($25.2 million), bringing the total to 614 million pounds ($773 million).
However, the financial report also reflects a significant uptick in administrative expenses, predominantly driven by rising salary demands.
These costs escalated by 38 million pounds ($47.85 million), culminating in total administrative outlays of 600 million pounds ($755.5 million).
Liverpool’s chief financial officer, Jenny Beacham, emphasized the importance of maintaining a financially sustainable club.
She underscored the necessity of expanding income avenues each year to ensure ongoing financial health amidst increasing expenditures.
